Monday, April 20, 2009

Chrysler's Canada Problem



Reports circulating today discuss the possibility of Chrysler Canada going bankrupt and Chrysler pulling out of the Canadian market entirely. If this happened it would send multiple shocks through what's left of Chrysler. Demand for Chrysler vehicles in Canada would likely plunge. Right now, I would estimate that Chrysler has a lot larger % share of the Canadian market than in the US. Chrysler would also have a supply problem. The Windsor, Ontario is now the sole supplier of Chrysler's signature minivan now that the St. Louis facility has been mothballed. The 300-series and other "LH" cars are built in Brampton, Ontario. Even the halo car, the Dodge Viper, is made in Canada. I'm sure Chrysler did not budget on moving the machine tools for these plants to the USA.

Factory information via Allpar.com.

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